Toward a Global Business Standard for Supply Chain Ethics

Abstract

In the evaluation of the ethical efficacy of companies within international supply chains, a major global trade issue remains. While top-tier globally sourced and delivered goods and services meet high quality standards regardless of the place of origin, there often remains a perception of ethical failings by the global supply chain partners’ business practices. Governments, companies, and individuals often question the fairness of trade practices along international supply chains and note companies locate production facilities in regions of the world with more lenient oversight of practices deemed unethical or illegal elsewhere. Would a global ethics standard that moves beyond mere recommendations eliminate such tactics and improve global ethics and international trade? This article presents a critical analysis of the leading global standards for business ethics and ends with a call for a more inclusive and comprehensive universal code of ethical conduct within a global supply chain. Once implemented, this code would be supported by third party auditing and reporting leading to an internationally recognized certification designed to publicize compliance by all participants in global supply chains.